The appetite for video streaming is growing in Africa, but local services face challenges. Before Netflix arrived in Africa in 2016, large telecom company-owned apps dominated the online streaming industry. Now, these apps struggle to compete with streaming giants like Netflix and Showmax, which offer specialized content. Many telecom-owned platforms have shut down, unable to keep up. Acquiring quality content is expensive and time-consuming. Netflix and Showmax have invested heavily in African content and are expected to lead the market. Telecom companies are finding it challenging to compete against these streaming giants, as the industry shifts toward original productions and exclusive content.

📈💼 Netflix and Showmax have invested significantly in African content. Netflix, for example, has invested $175 million in South Africa, Nigeria, and Kenya between 2016 and 2022. Showmax, which inherits a massive content business from parent company MultiChoice, has produced more than 30 Showmax Originals. Telecom companies are struggling to keep up as the industry has shifted toward original productions and exclusive content.

🌐📺 African streaming companies are better off partnering with proven content creators rather than trying to compete with giants like Netflix. Telecom companies can invest in original content to attract global streaming leaders. The revenue generated by streaming services is significantly lower than core businesses like voice calls and internet subscriptions.

🚀💡 Scaling a streaming business in Africa requires significant upfront capital and patience. It's essential for telecom companies to focus on content and invest heavily to be competitive. Even Disney, known for its content, has faced challenges in building a profitable streaming business.

🌍🎥 In the African streaming industry, the future is bright but highly competitive. Collaboration with local creators and investment in quality content are crucial for success in this evolving landscape.

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